May 12, 2022 18:37 GMT
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- A mixed day for crude oil, with prices currently largely flat having most recently been trimmed on the EU starting to mull delaying Russian oil sanctions as Hungary refuses to back the plan.
- Domestically in the US, Congress will vote next week on legislation barring “excessive” or “exploitative” fuel prices.
- WTI is +0.3% at $106.04 having briefly cleared yesterday’s high of $106.44 which could open resistance at $111.37 (May 5 high). Support remains sub-$100 at $98.2 (May 11 low).
- WTI contracts are only up in front contracts though, with declines from the Sep’22 contract onwards.
- Brent is -0.2% at $107.28, also just about clearing $108.29 (May 11 high) to open $114.00 (May 5 high).
- Gold has slid throughout the day and sits -1.6% at $1823.07 with further risk-off sentiment seeing a surge in demand for USD and inflation expectations continuing to moderate.
- It has already cleared one support level at $1832.1 (May 11 low) and next eyes $1821.1 (Feb 11 low) after which it would open key support at $1780.4 (Jan 28 low).
- Some additional focus on grains, with Kansas City wheat rising by the exchange limit on low production estimates.